What is a feed-in tariff (FiT)?
A feed-in tariff (FiT) is the per-kilowatt-hour credit an energy retailer pays a solar system owner for surplus electricity exported to the Western Australian grid. The rate varies by retailer, time of export, and market conditions.
A feed-in tariff is payment from your energy retailer for solar electricity your system sends back into the grid when you produce more than you use. Measured in cents per kilowatt-hour (c/kWh), the FiT rate sits separate from any discount your retailer offers on grid electricity you purchase.
In Western Australia, there is no government-set minimum FiT. Instead, each retailer sets its own rate, and these rates fluctuate based on wholesale energy prices, retailer policies, and market demand. Export rates may also differ depending on when electricity leaves your system: peak-rate exports during high-demand periods sometimes attract a higher credit than off-peak exports. Some retailers offer a single flat rate year-round, while others tier rates by time of day or season.
The FiT matters because it directly affects the return on your solar investment. A higher export rate improves payback timelines and lifetime savings, particularly if your system regularly produces surplus power. Even modest differences between retailers compound over 10, 15, or 20 years of operation. Understanding your retailer's FiT structure and whether rates vary by export time helps you assess the true financial benefit of solar generation for your Perth-area property.